Florida law aims to shield residents from data center electricity costs; Duke Energy's tariff contested
A new Florida law, SB 484, aims to protect residents from subsidizing data center electricity costs. Duke Energy's proposed tariff, intended to comply with this law, is being contested by the Florida Office of Public Counsel, which argues it does not meet the legal requirements.
Florida's new law, SB 484, signed by Gov. Ron DeSantis, requires electric companies to ensure that the costs associated with building and operating hyperscale artificial intelligence data centers are not passed on to residents. Walt Trierweiler, head of the Florida Office of Public Counsel, stated that this legislation is the first customer protection statute in the United States designed to prevent customers from subsidizing data center costs.
However, the Office of Public Counsel claims that Duke Energy's proposed tariff, which was filed to comply with SB 484, does not meet the new law's requirements. The office argues that Duke Energy's plan inappropriately places data centers under existing large-load tariffs, rather than creating a new tariff specifically designed to comply with SB 484's customer protection mandates. The Office of Public Counsel has filed a joint motion to dismiss Duke Energy's plan, contending that the statute was intended to protect customers immediately and going forward from data center-related costs. The Florida Public Service Commission will ultimately decide if Duke Energy's proposed tariff complies with the new law.